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October 29, 1992 <br /> Page 2 <br /> For the Colorado Mined Land Division: Frank Johnson <br /> and/or Steve Smith (attorney general's office) ; Steve <br /> Renner (Mined Land Reclamation Division) . <br /> For Mid-Continent Minerals: Robert Delaney (president <br /> and general counsel) . <br /> For Mid-Continent Resources: John Reeves (president) ; <br /> Bob Delaney (general counsel) ; Lou LaGiglia (V.P. and <br /> treasurer) ; Diane Delaney (environmental compliance) ; <br /> Jim Holden (bankruptcy counsel) . <br /> At the request of several parties, I am writing to <br /> discuss subjects which I believe will need to be addressed at the <br /> meeting. You may have ideas about additional agenda items. If <br /> so, I would suggest that you put the parties on notice about any <br /> additional items so that we can plan for the meeting and use our <br /> time most efficiently. <br /> Sealing of Mine Portals <br /> On October 5, I wrote several of you describing <br /> Resources' need to commence immediate action to seal <br /> approximately 47 mine portals. Since then, I have received a <br /> letter from the District Manager of the Mine Safety and Health <br /> Administration, William Holgate (copy enclosed) . Holgate <br /> threatens enforcement action and the implementation of maximum <br /> civil penalties (which I understand are $5,000 per day) until the <br /> portals are sealed. <br /> On a more hopeful note, Holgate says that an <br /> "immediate" response to the situation may delay or terminate the <br /> enforcement action. As noted in my October 5 letter, we estimate <br /> that sealing the portals will cost approximately $150,000, which <br /> would be expended over about a year's time. We need some funds <br /> to be made available in the short term to begin sealing the mine, <br /> and ultimately need to have provision made for the entire sealing <br /> program. <br /> Mine Reclamation <br /> My letter of September 22 advocated that the collateral <br /> which secures Resources' mine reclamation obligations should be <br /> augmented, in exchange for a waiver of any claims for surcharge <br /> that might be directed at Sanwa and of any claims for <br /> administrative priority that would come ahead of general <br /> unsecured creditors. <br />